Americold Failed to Protect Private Data from Hackers, Class Action Claims

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Americold Logistics, LLC faces a proposed class action over a cyberattack announced in December 2023 that reportedly compromised the private data of over 129,000 individuals.

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According to a December 8 notice letter sent to victims, the Atlanta-based cold storage and logistics company discovered a “cybersecurity incident that involved the deployment of malware” on parts of its network on April 26 of this year. A subsequent investigation revealed that on that date, an unauthorized third party had gained access to the system and stolen certain information belonging to current and former Americold employees and their dependents, the notice shares.

The 89-page lawsuit relays that the data breach may have compromised individuals’ full names, Social Security numbers, addresses, driver’s license numbers, state ID numbers, financial account information, passport numbers, health insurance details and medical data.

The Cactus ransomware gang reportedly claimed responsibility for the cyberattack and has apparently leaked a 6-gigabyte archive of accounting and financial files allegedly exfiltrated from Americold’s system.

The case alleges the company negligently failed to implement reasonable cybersecurity protocols to safeguard the data in its care, which was purportedly “accessible, unencrypted, unprotected, and vulnerable” to theft by unauthorized third parties.

The complaint further contends that although Americold claims to have discovered the incident in late April 2023, the company waited more than seven months to notify impacted individuals.

“As a result of this delay, [the plaintiff] and Class Members had no idea their [personally identifiable information and protected health information] had been compromised in the Data Breach, and that they were, and continue to be, at significant risk of identity theft and various other forms of personal, social, and financial harm,” the filing argues.

Given the prevalence of cyberattacks in recent years, Americold should have understood the risks and taken commensurate steps to ensure the stored data was adequately protected, the suit charges.

The lawsuit looks to represent anyone in the United States who was sent a notice letter by Americold Logistics, LLC notifying them that their private information was compromised in the data breach.

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